9/15/2010 12:04:00 PM
Vodafone chief calls on operators and manufacturers to work together
Vodafone chief executive Vittorio Colao outlined the five points operators and manufacturers should work on together to advance the industry.
The Vodafone chief said network quality, devices and operating systems, content and services, customer affordability and ecosystem profitability need to be taken into account by operators and manufacturers.
Colao said in his speech that previously it had simply been a case of providing a good network coupled with good devices. However, due to the changing nature of mobile use, it was no longer that simple.
Vodafone’s chief also warned against the market becoming too closed and losing its competitive edge.
‘There is a smartphone explosion; there is competition and innovation. We need to avoid the closed vertically integrated models. We should avoid limiting the choice for the customer, which will in the long run reduce competition,’ Colao said.
Colao explained that Vodafone has four different categories for devices: high-end smartphones, mid and low-end smartphones, tablets and emerging markets smartphones – and is sceptical about operating systems.
Colao also talked about how Vodafone has seen the use of its network change. He explained: ‘The main job of our network today is to entertain and satisfy the entertainment need.’
In August, Vodafone saw consumers use their devices for data in a number of different ways. One third used them for browsing online, 25% to play games, 20% to access emails, 15% for social networking and 11% for maps.
Vodafone has already started changing its data policies. Colao said: ‘Data costs and data pricing has to adjust. We are already providing caps and differentiating the level of service to different types of customers. Every class of service must have its own price and every customer must be able to pay for the level of service that he or she wants.’
Colao said it was encouraging to see Nokia entering the smartphone space and he looked forward to the two companies partnering ‘together and connecting people and giving them power’.